EA acquiring Respawn Entertainment

EA is about to snap up another studio, this time it’s the creator’s of Titanfall, Respawn Entertainment.

EA is acquiring the studio for $151 million in cash and a further $140 million if they reach certain milestones outlined in the deal. There will also be $164 million in long-term equity in the form of restricted stock units to employees.

“We’ve seen firsthand the world-class caliber of Respawn as a development studio with incredible vision, deep talent and an inspiring creative mindset,” said Andrew Wilson, CEO of Electronic Arts. “Our longtime partnership is grounded in a shared desire to push the boundaries and deliver extraordinary and innovative new experiences for players around the world. Together, we’ve brought this to life in the Titanfall franchise, and now with the Respawn team joining EA, we have exciting plans to accomplish even more amazing things in the future.”

“We started Respawn with the goal to create a studio with some of the best talent in the industry, and to be a top developer of innovative games,” said Vince Zampella, CEO of Respawn Entertainment. “We felt that now was the time to join an industry leader that brings the resources and support we need for long term success, while still keeping our culture and creative freedom. EA has been a great partner over the years with Titanfall and Titanfall 2, and we’re excited to combine our strengths. This is a great next step for Respawn, EA, and our players.”

Respawn is currently working on a new Titanfall game, a game set in the Star Wars universe and a VR title. This is good news for the developer but we all know what eventually happens to studios acquired by EA. How long should we give this one?